The Failure to Properly Record an Adjusting Entry to Accrue

Multiple Choice

The failure to properly record an adjusting entry to accrue an expense will result in an

A) understatement of expenses and an understatement of liabilities.
B) understatement of expenses and an overstatement of liabilities.
C) understatement of expenses and an overstatement of assets.
D) overstatement of expenses and an understatement of assets.